good monday morning. it is 8:00 a.m. at google headquarters, 11:00 a.m. here on wall street. "squawk alley" is live. welcome to "squawk alley." joining us this morning, john steinberg, good to see you.

>> good to be here. >> busy market day. let's get started with that. apple will announce this week it has sold more iphones in china than in the united states for the first time this year. apple struck a deal with china mobile back in december 2013. more apple, apple pay is succeeding at its top goal, namely, getting people to use it. retailers see big demand for the service with one commenting saying, quote, our customers are saying it's safer. >> apple pay is great. i just used it last night at whole food doing my storm preparation. it was manic in there. on the china issue, this is greater china. not exactly a surprise if you're following the trajectory of iphone sales. very key because samsung was looking at china as a very important market and it's getting hit at the top end by

apple. and at the low end. so apple strength there does matter, but it makes it particularly important because they're opening up these retail stores before chinese new year. >> tim cook said in 2013 that the tipping point would at some point come, that china revenues would ellipse revenues here in the u.s. what do you think made it happen so soon? do you think it was the larger phone or samsung weakness? >> it was the larger phone. that's part of the reason for samsung's weakness. if i were just the low end and samsung still had the top end, that would be stronger for them. they have this larger phone that's clearly popular in china. it's very important. but you can't underestimate the importance of retail and apple's vertical integration. look at a l going after microsoft. apple owns its whole ecosystem.

>> so they're going to sell 2 million more iphones in china than they did in the u.s. this past quarter. what we're seeing happen is you have the iphone, apple and then 1.5% of global market share. and you see samsung losing about 8% of market share. if in the u.s., we have apple and samsung. in china, you have apple and jao me. that could be devastating for samsu samsung. >> why don't you show it off now? >> i managed to get ahold of a phone. i said i wanted one. somebody brought it back for me some china. what's amazing about it, they have all of their own apps. they have their own app store. they have their own music. we're going into weather now. they have their own music store as well.

this is the higher end one they have right now. they just dropped the price a little bit as they enter india soon. >> and is it the closest thing to a chinese apple? >> it's much easier to use than an android phone in my limited experience. our producer said, wow, it looks just like an iphone. they do their own products as well. this is their own external battery pack. >> they have an air humidifier. they have a fitness band. does this make you want to buy other xiaomi products? >> having played around with it, if i could get this on my carrier in the u.s., this would be my second phone. >> there's one argument if they try to come to the u.s., it would be over because apple would sue for infringement of patents or trademarks because it's so similar. >> i'm not a legal analyst.

is it that different from an android phone, i mean, no. it is pretty amazing. they have literally the same speaker on the bottom grill right here. they have that same little white line. from a physical design standpoint -- >> and the structural standpoint, it looks very similar. >> it doesn't have to be a slam dunk for apple to sue. it would happen. it would happen. apple has shown no necessary restraint in going after people it feels are ripping off designs. and they'd have to contend with google too by the way who would no doubt try to block them from getting the key 57s that google owns onto this phone. so i continue to think, yeah, they make pretty stuff, they might have a strong ecosystem in china, be wary about -- >> one of the comments i made is i think people switch from these

networks much more quickly now. when you sign up for this, it prompts you to sign up for their version of messenger. you can see very easily if this were to come to the u.s. people say, well, i'll give it a try. >> any guesses as to whether or not apple surprises or disappoints tomorrow night? >> we already know how strong the quarter was. >> meantime, according to reco, google is partnering up with the nfl. along with other game information. this deal does not include live streaming of nfl games. but the league says it will give google in game clips to start showing. we've been waiting for this relationship to start up. >> it starts with clips and ends with episodes and full games. people have been rumoring and talking about youtube getting nfl rights for a long time.

this is one of the first dominos to fall in this series. and very aggressive against twitter. >> aggressive against twitter, but we did see nfl inking a somewhat similar deal with facebook. do you think that that was the nail that pushed google and the nfl to finally do a deal, the entrance of facebook into this market? >> i think it's the inevidentbility. and the content owners are moving more slowly. your channel guides are facebook and twitter and youtube. that's what we're beginning to see right now. >> paying for instant replay is one thing. full games, anything like that, you got to wonder exactly how much cash these technology companies are willing to throw at this. they're spending on movies. they're spending on tv dramas. can they afford to spend on sports? that's some of the most

expensive stuff. >> the video ad rates start to converge with the television ad rates, it could happen. we have youtube this weekend putting up their own competing halftime show to go against katy perry store. >> ad week said that who bought out -- >> yeah. budweiser, daily mill advertiser. it's aggressively advertising on the youtube home page as well. it's almost like having a super bowl ad. >> realtime on television, missed it. >> exactly. >> the amount of money we're talking about is staggering. if google were to bid on sunday director anything like that, a whole slate of games that would be a game changer. >> i think it's inevitable. whether it's google or facebook, it's a matter of time before one of these people decides to go directly for the content. >> sure. two years ago, the sag awards, our jaws would have been on the

floor. >> two years ago, you would have said no way. now they're all in a bidding war. >> in two years, five years? how long off are we given the strength of the ratings do you think it is before google jumps in? >> what i always thought ft. nfl, it -- and i only started getting into football with fantasy football at the office. i thought it would have made sense to go for the thursday game. i think we are 24 months away before somebody has access to a major sports franchise over the top. whether it's nba, mlb does a deal. mlb is already so digital. i couldn't imagine it being more than two years away. >> bold. >> that's a bold call. >> i like it. >> what is your fantasy football record while we're on the topic? >> so terrible. i win two games and lose everything. >> i believe it. >> thank you. >> john steinberg joining us

today. >> we've been talking about it all morning, there is a potentially historic blizzard getting ready to slam into the northeast today. it comes after all flights after 7:00 p.m. in boston have been canceled. the wnl is live in boston with the latest. you've already got a lot of snow on the ground. what more can we expect? >> reporter: yeah, we had a little appetizer on saturday. about five to 9 inches of snow. forecasters are predicting anywhere from 20 to 30 inches of snow in the boston area. that would be bad enough, but this whole area is under a blizzard warning which means we could see winds as high as 60 to 70 miles per hour. it could be hurricane-force winds along with coastal flooding. many people along the massachusetts coastline have already boarded up their homes. once the storm moves in, it could be bad for people along the coast here.

the city and state are getting ready for this storm. people are making last-minute preparations. many folks have raided all the grocery store shefls in the area. it's almost difficult to find a loaf of bread or gallon of milk. the governor says people need to be prepared for the worst case scenario. they may need to be in their homes until maybe wednesday or thursday if there are difficulty getting the roads cleaned around here. the city has 700 snowplows ready. if this hits two to 4 inches an hour as they're predicting, the plows are just not going to be able to keep up. state police have started moving assets around the state, large trucks, boats along the coast. if there's any type of police response, they can move quickly. the city is pausing because the new england patriots are having a rally not too far from here.

a send off as they head to arizona for the super bowl. shortly after that, everybody's going to get back at it trying to get ready to make sure when this storm comes in everybody is ready for what's coming. >> chris, brave of the patriots fans to be out there. we did see a travel ban in effect in connecticut starting tonight at 9:00 p.m. you mentioned people could be in their homes until much later in the week. for folks trying to stock up, how long do you expect it to last? >> they're saying that once the snow starts flying tonight, it could last a full 24 hours and then remnants into wednesday morning. you're talking about 24-hour to 36-hour event that could be happening. and then once that tapers off wednesday morning, that's when the real cleanup is going to begin. obviously main roads and arteries will be cleared first. side streets could be a mess for

days. they're also really, really worried about power out tanls. food starts to spoil. temperatures inside homes get dangerous. if you have a generator, go out and gas it up today. gas up your car in case you need to try and make some sort of escape. it could be rough here. we've seen this before in this area. everybody who loves here remembers the blizzard of '78. technology now is a lot better, shop we should be much more prepared. >> stay warm. we'll check in with you a little bit later. we do want to get a check in on the markets. after briefly turning positive just moments ago, right now markets are mixed. the dow is down by just a fraction of a tenth of a percent. s&p down by a fraction of a point. we await microsoft earnings after the bell today. apple earnings after the bell tomorrow. we want to check in on the airlines ahead of the flood of

cancellations. right now, delta, united, southwest are mixed. united is up by about half of 1% despite the fact that united continental canceled all of its flight out of the new york city area, boston and philadelphia for tuesday. meantime, shares of ups are slipping after getting downgraded to equal weight at barkley's. they're seeing an increased focus on customer service may be putting earnings growth on the back burner. they don't necessarily disagree with the company's priorities. that's down 2% as we await holiday earnings. netflix announcing another brand new deal. we're live on the ground with the latest. plus which sector on the s&p has seen the best improvement since q4? and microsoft reports after the bell tonight. should we be expecting a blowout quarter. we're going to break that down for you later on this hour.

"squawk alley" is back in a minute. grand prix race car made history when it sold for a record price of just under $30 million. and now, another mercedes-benz makes history selling at just over $30,000. and to think this one actually has a surround-sound stereo. the 2015 cla. see your authorized mercedes-benz dealer for exceptional offers through mercedes-benz financial services.

welcome back. latest cnbc market flash. sony shares shooting up over 3.5% this morning. clsa issuing a bullish report saying post hack on track. the analyst revising the projections and reiterating its

buy rating on the stock. they expect better profitability in games to offset a lower contribution from smartphones. sony shares now trading up 3.7%. >> thanks so much. well, the sundance film festival began over the weekend with both netflix and amazon trying to make a big splash in park city, utah. we're live with more. >> hi, greetings from park city utah. >> fwregreetings. just how big is the digital prepares this year? >> digital presence is very big. the opening night film was produced and going to be distributed by netflix. the opening night movie to have distribution with netflix is already a very big deal. this week, the producers of independent films allowed them to premier here at sundance and asked that four-picture deal

with netflix. which means their movies will be shown in theaters for a short period of time and then go straight to netflix where they will stream exclusively. this follows a deal a couple months ago made by adam sandler. his next four movies will not be in theaters at all and go straight to netflix. for a box office star to go straight to netflix is a very game-changing deal. if it works, other a-list stars will follow suit. >> scott, i'm wondering -- >> yep. >> you have amazon, hulu, netflix, the list goes on and on of some of the new players in this space. do you see these company exams production houses really throwing around real money or are they more there to see what the landscape looks like? >> amazon in particular is throwing around real money. they announced a deal to produce

12 films over the next year. they will debut in theaters for a very short period of time and will go to amazon exclusively about four to eight weeks later. theater owners are going to have a huge problem with this because they are not going to want to have people stay home and just wait for the movies to stream online. they want to get people in the theaters so they can sell overpriced popcorn and soda. that's how they really make their money. all the online streamers are making a big splash here at sundance. they have money to throw around. they made a big splash with shows like "house of cards,"" orange is the new black." they have money to throw around and they are taking chances. they are taking on the studios and ready to beat them at their own game. >> thanks to you this morning. up next, did a drone really

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in case you missed it, the secret service finding a surprise near the lawn at the white house this morning. a spokesman saying a small quad copter device was seen flying and then crashing on the southeast side of the white house. the secret service is currently investigating the device as well as sweeping the grounds for anything else out of the ordinary. flying drones is currently illegal in the district of columbia. got to watch out for intruders, fence jumpers, now drones? >> it comes at a time when the faa is fine tuning their rules

about drones. >> still trying to figure out who the manufacturer was. someone pointed out, there's this one. drones use in yemen. we're talking about these things every day. a year ago we weren't talking about them at all. >> absolutely. we've seen all these pictures of the new apple headquarters that people are flying drones up above. this of course a lot more disturbing. wonder what kind of counter measures. >> and reportedly 2 feet in diameter. that doesn't seem like a small drone by any measure. we will keep you posted on that story. meanwhile, live in athens. michelle, we've seen mixed markets in the wake of election results last night. what can you tell us from the ground? >> reporter: well, it's been incredibly fast what's happened here in the last 24 hours. the 40-year-old leader of the

ultra radical leftist was sworn in just a few hours ago. that is very, very fast for greek politics. he won enough of a vote that way things could move as fast. now, the question is, who's on his economic team. you've got to let the negotiations begin now between greece and their international creditors. he ran on a platform that he was going to renegotiate this country's bailout. there's a core member of his team that's not clear if he's going to be the finance minister. he is definitely on the short list. will burr ross appeared on squawk this morning and called him a moderate. i don't disagree with ross, but let's be very clear. he's a moderate only in the context of the greek left. if he were to be in the united

states, he would be far to the left of anybody currently in politics in the united states. most americans would call him a communist. he wants to renationalize any of the state businesses that have been privatized. he wants to raise taxes on the rich and cut taxes on the poor. it's not clear that they're going to be able to balance the budget if they do these things. he says the fist thing they're going to do is raise the minimum wage. something that's not going to go over very well with their creditors. >> if i can't pay you a decent minimum wage but you and i decide we share, i don't think the state should stop us. but if i want to be your boss, then the state has a right and obligation to say to me, there are minimum labor contract laws.

>> reporter: so he has a phd in economics. up until this situation here, he was a professor at the university of texas in austin. i said, how on earth did a self-described marksist survive in texas. he said i wasn't in texas. that was austin. >> that's a good one. obviously they have a bunch of different factions. is it your sense they are going to be able to negotiate as one voice on some of these terms? >> reporter: well, that is the key question right? we're not absolutely sure about that. they have an ultra left almost communist part of the party. it's not clear they're going to be able to do that. their coalition partner is a far right wing party. how on earth do they get together? because they've got one main

mission which is to undo the terms of the bailouts. both of the parties in power right now hate the bailout and want to change the restrictions that have been imposed on greece. >> thanks to you. in athens covering that reelection. when we come back, shares of microsoft slipping as the company gets ready to report after the bell tonight. plus, which sector on the s&p has seen the most improvement since the fourth quarter of last year. coming in a moment when "squawk alley" continues. just take a closer look. it works how you want to work. with a fidelity investment professional... or managing your investments on your own. helping you find new ways to plan for retirement. and save on taxes where you can. so you can invest in the life that you want today. tap into the full power of your fidelity greenline.

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welcome back. take a look at this chart of ibm. there were rumors that ibm was getting ready to embark on a huge layoff. more than 100,000 workers. i've been in touch with ibm's side and they're shooting down this report. they said they were taking a charge of $600 million for restructuring. that would if you look at historical rates be a restructuring of less than 10,000 workers, if you take a look at how much these workers cost. somewhere around 70, 80,000 per worker. not clear exactly how this rumor got started. ibm's side of things shooting

this down. moving on, shares of microsoft sliding lower this morning as investors await earnings coming this afternoon after the bell. the software giant's q2 earnings. also still digesting the big unveil last week which include the the microsoft surface hub and a brand new browser. these earnings are going to be interesting in particular because it's the holiday season, it's a big xbox quarter. also, we get to see a little bit more on the surface. not on the surface, but the actual computer. you've heard there have been some sales. this is the quarter when we get to see that and also maybe get to see microsoft put some flesh on the bones and also how that's going to lead to profits down the line line. >> we've been talking about

microsoft's prowess in the cloud. do you think we'll get any news on cloud? >> yes, definitely. cloud has been growing at double digit rates year over year for quite a while now. he figured out microsoft's focus in that area. i think the growth of the cloud is a big part of the reason they have gotten the valuation pop that it has. >> set a lot of those records, but hasn't been back above the 50-day since the beginning of the year. staying with tech, apple and yahoo set to announce their quarterly results on tuesday as the tech sector continues to outsupport the s&p. here to discuss more is richard peterson, senior director at s&p capital iq. you said this last time you were on, keep an yooi on tech. >> our earnings expert crunched

the numbers for me. beginning of december, fourth quarter '14, were about a little under 8%, 7.8. now they're bumping up towards 10%. that in the context with the overall s&p has gone down from 6.6% now is deflated to about 4.1%. >> biggest component is apple. >> sure. by far. the apple numbers in the report, we look to see improvement of margins, if they're going to use cash for shareholders going forward. >> but how much is the sector leaning on apple? there are always estimates with apple and ex-apple. >> like the s&p 500, in general, 4.1. ex-energy, energy is doing very poorly. that's even the case next year or next year tech activity in

the first quarter of 2015, double digit growth. energy's going to be down over 50% year over year on a quarterly basis. >> but is the music about to stop? if apple fwieds conservatively given the inventory they've built up in iphones, if microsoft says we're giving a breather, don't get your hopes too high, does the story change? >> the music may stop, but the tune remains the same. creating new products, growth, creating shareholder value. we have seen that quarter over quarter. better gains, better improvements. they've been able to deliver. until they fail to deliver, the stock will be rewarded. >> i don't know how much into the weeds you can get. chips have been purchased. >> sure. i don't know whether that's a function of foreign currency or

not. we have a very strong dollar. many tech companies, over half of their revenues are overseas sales. so currency impacting technology is a question to be determined. we'll see how it plays out when all the numbers are reported. >> we talk about earnings growth, but so many of these companies are going through restructuring. we just talked about ibm taking a $600 million charge and the most recent charge for layoffs in the realm of 10,000 people. how much of the bottom line growth is coming because of cost cuts? >> the top line is very challenged. for 2015, the s&p 500, again, only looking at about 2%, top line growth. but technology is the leader again. 10.4% for calendar year 2015. >> finally, you messaged me last week, m&a overall for u.s. got a slow start? >> i was just -- >> and there's more today. >> there was concern that the

worst level since 2003. then, bang, you had these big energy deals. there has not been a deal over a billion dollars in technology. the biggest tech deal is microsoft buying that israeli software company. so still waiting for the big one to come. >> trying to get twitter sold to somebody. >> they can't find any big targets overseas, they don't want an a ton my two again. >> that's a lesson hard won. absolutely. thanks for coming in. >> be safe today with the weather. >> same to you. more than 5,000 flights have already been canceled as this massive blizzard heads for the northeast. we are live at new york city's la guardia airport with the latest. kate? >> reporter: hey, that's right. clearly airlines and airports alike are both taking this winter storm juno threat very seriously. just in the past two hours, boston logan airport is saying

that beginning at 7:00 p.m. tonight, no flights will be coming in or out of the airport. they're hoping to have things back up and running by wednesday. crews will be there tomorrow. the airport itself will be open as they attempt to keep the runways clear. united airlines also saying that beginning tomorrow at new york, new washing, la guardia, boston and philadelphia airports, all flights completely suspended. american airlines taking that same cue late this afternoon. both carriers are waiving change fees for people who had planned to travel ahead of this storm. here, we've been monitoring delays and cancellations since about 5:00 a.m. this morning. we can tell you nearly 50% of the flights, more than 280 have been completely canceled so far today. a lot of the names of the cities coming up include philadelphia, pittsburgh, norfolk, and roanoke. we should also point out that the weather chabl says nearly 28 million people in the northeast

alone with currently under blizzard watch. additional 11 million people under storm warning right now. back to you. >> in case you were wondering, the nyc says it plans to hold normal trading hours despite the weather. all physical and electronic operations will be fully available. it's a space battle with just one goal, not having to pay the russians anymore. details on the new competition between boeing and space x in a moment. what are you watching today? >> well, i'm continuing to watch the way things are trading post january 22nd qe announce. . of course, the program doesn't start for a couple months. how can you make money between now and march? we're going to touch on a couple of the easy trades which are mostly in the united states and mostly between the long end and other sectors of the curve. tune in after the break.

coming up, a busy week of earnings, a blizzard, and a fed meeting. what a week it is. we have all the trades and angles covered. we go live to a thens on the latest of the election aftermath and that country's future. e jackson says twitter's ceo isn't going anywhere. and why he says tomorrow's earnings for yahoo are the moment of truth.

>> sounds good. in a little under 20 minutes from now. they will take the stage to see which company can come up with the best way to take astronauts right to the international space station. jane? >> you don't often see boeing and space x playing nice and sharing the stage, but that's going to happen at the top of the hour. they talk about the next steps in building a capsule to carry astronauts to the space station so we can stop paying the russians $70 million a seat. it is possible both could win to give nasa options. >> three, two, one. >> all right. space x has received more than $2.5 billion to further develop a man version of the capsule it's currently using to send cargo to the space station. boeing received over $4 billion to continue developing its

capsule. boeing of course has a long tried and true history with nasa. this is also the first time we're hearing from them since a third competitor lost out in the competition challenged that decision and was denied. nasa would like to get at least one of these capsules going to the space station by 2017. this is different from the orion spacecraft lockheed is building. this shows the falcon 9 rocket missing the floating landing site out in the atlantic earlier this month. ouch. after running out of fuel, spaceex will probably try this again next month. they work towards a reusable rocket to drive down launch costs. that has nothing to do with humans. spacex helps to recover rockets after cargo or astronauts are launched or on their way. no humans will be hurt in that

event. >> thank you for the clarification on what is turning out to be an amazing race. let's get over and check in with rick santelli. >> hi, carl. you know, really, the big mission for cnbc is to make sure that you, the investor, are fully armed to be able to trade challenging markets, especially the markets we are now facing. and there's extreme things going on. one of the most extreme was thursday, the 22nd and embarking on quantitative easing american style. but some things didn't happen in an extreme way after that extreme policy hit. if we look at five-year rates, 10-year rates and 30--year-old rates, we're all on the 15th. we keep getting close and touching that low 233, 234 area,

not so much true for fives and tens. it's pretty much a daily event. friday, they made their historic low. today, they traded lower than 36 base points. the dow made a tie on the 26th of september, the s&p the 29th. the dax made its all-time high today. but not an all-time high here, it's just challenging levels in june of '08. i thought extreme policy would bring extreme moves everywhere. the way i would look at it, there's two areas that have been very profitable thus far. mostly intermarket spreads. watching what's going on in boons and trading ten years accordingly. i think that many traders on this floor are scratching their heads a bit thinking maybe the best way to play it now would be

intramarkets versus intermarkets. there's one area we haven't talked about much, notes over bonds. it's 30-year rates minus 10-year rates. you'll see it's hovering around 57 basis points difference. many traders on this floor have been watching how if you're going to buy something and you can't value anything because central banks have taken true evaluation of any of the fixed income markets away, maybe by design, look for this spread to get narrower. and like all flattening, this one seems to be great because it involves the 30. whether it's 30s versus 10s, fives or twos, you want that long leg on the 30s and look for the spread to be cut in half over the next several months as we continue to see buyers,

aggressive buyers on the long end, of the u.s. rate curve. why your car could be the one making sure you keep your eyes on the road. "squawk alley" is going to be right back. providing technology to get more detail... ♪ detect hidden threats... ♪ see the whole picture... ♪ process critical information, and put it in the hands of our defenders. reaching constantly evolving threats before they reach us. that's the value of performance. northrop grumman. e financial noise financial noise financial noise

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welcome back to 1kw58. check out shares of c gate technology. the stock is moving lower after they reported quarterly sales below forecast. this due to lower demand. it also forecasts this quarter's

revenue below expectations as well. down by nearly 9% on today's trade. back over to you. >> while your car might one day be driving you, in the meantime, it's going to be keeping an eye on you. new technology could soon track driver's eye movement to make sure they're paying attention on the road. >> it is the future, john. it is good news. we'll be seeing this technology over the next couple years. we were first tipped off about eight months ago. let me show you some of their software. this is a glimpse into what the future will look like. in the future, they have a camera mounted in the dash board. that camera watches your eye movements. when you look at what their cameras show, it almost looks like lasers coming out of the eyes, they can monitor where you are. if you're looking away, if you're distracted in any fashion, the camera will catch it. it will then alert the drivers.

there is a definite need for what they're showing us from seeing machines.com. they're talking to a number of auto makers. this is all about targeting contracted drivers. it catches fatigue driving as well. a huge problem in the industry. the goal here, it's all about preventing crashes. >> the vehicle then has an understanding of whether i'm paying attention or not when i'm coming up to the stoplight, have i seen the vehicles in front of me. that's something that the vehicle can then adjust itself to make better decisions on my behalf, safer decisions. >> and here's a lot of what's driving this technology. there were 3,328 deaths related to distracted driving in 2012. those are the most recent statistics available. and almost a half million injuries linked with distracted driving accidents. what we'll see is this technology incorporated into

those drive vehicles in the future. even with that, we're going to be required to pay attention. regulators are not going to allow that software in the car unless we're in the vehicle paying attention. we may not be grabbing the wheel, but they want us paying attention. they don't want us watching tv or texting or eating. >> nature of driving is changing so quickly. nice to see bob even though briefly. when we come back, as adam sandler heads to netflix, see who will join him in his first project. "squawk alley" will be right back. the lightest or nothing.

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the cast for adam sandler's new movie reporting the growup's co-stars, the joyce judge, and snl host blake shelton and comedian commitny cummings along with the regular happy madison crew. who else, vanilla ice who was in

sandler's 2012 comedy "that's my boy." disney casting emma watson as belle in the live action of "beauty and the beast." there's an audience that wouldn't have gone to go see sandler in the theater who might just fire it up on netflix. >> it could probably be the guys i hung out with in college. but i think he's going to kill it on netflix because his base is dedicate sfwld people on twitter already calling it straight out of 1993, the gang's all here. >> absolutely true. in terms of earnings, i'm looking at a list of the big earnings coming this week. microsoft, apple, yahoo. >> don't forget qualcomm. a lot of these companies that are the bell weathers in their arenas we'll get a sense.

we'll get a sense of how facebook did over the holidays. that will be big. >> with so many reporting, it's hard to say one will be more important than the others. i know a lot of investors are watching yahoo. yahoo was able to start talking about how it would use the proceeds from the ipo. we haven't really heard much. there's been increasing pressure on yahoo and melissa myers. they expect her to start saying how she plans to use that $37 billion in proceeds. >> it's been a long wait. as far as microsoft go, the journal calling it the renaissance in redmond. >> it's really impressive what they've been able to project about the company especially given the grace hopper stumble. he recovered from that. this quarter normally you focus on q4 and say q1 doesn't matter so much.

guidance matters this time and wanting to see where demand is overseas. so this will be interesting. if you're traveling in the northeast, by all means, travel safe. for now, back to headquarters and the half. and welcome to the halftime show. we are covering three major stories at this hour. the historic snowstorm bearing down on the northeast. the aftermath of the graek elections and the busiest week yet of earnings. here's our starting lineup. stephanie link. josh brown is ceo of wlt management. managing director at douglas c. lane and associates. michelle is in athens